5.75% Interest Rate ???

Question

Please help me, new to this. My credit score around 800 ++ and got a 5.75% interest rate for 30 years fixed rate conventional loan. Is this sound good or bad? because i thought it going to be around 5%. Thank you all.

Ned Carey · Answer

Well from a different perspective it is basically free money. Historically we are still well below average rates. My first mortgage was 12%.

One philosophy that applies here is the availability of money is more important than the cost of money.

Jay Hinrichs · Answer

what I find very unique right now Ned is the amount of HML or private money companies led by large hedgefunds investing in these HML companies have driven these private rates down to 10% apr or less.. so to only have about a 4% spread between bank money and HML is quite unique in my experience over the decades.. other than the high interest mid 80s anomaly..  the spread was usually 10% or so..

But for sure if a deal is stressed because 6% money only works and 7 or 8% money throws it out then those are some really tight spreads to be working with.. and one would not want to be signing up for 3 to 5 year call notes.

Russell Brazil · Answer

20% down thats the right ball park. 25% down will get you closer to 5%

Ron H. · Answer

Just received a investment SFH loan for 5.75%.  This was a zero closing cost loan though.  I think standard loan rate was 5.4%

Mark Whittlesey · Answer

Yes. I refinanced about 30 days ago. 5.75% for a NOO SFR .

Bob Okenwa · Answer

This is now the new normal in investment lending interest rates have risen all year and anything around 5.5% is what most people are getting these days.

Dustin Beam · Answer

We all knew these days would come  where interest rates would start to climb haha. Maybe it will help cool the purchase prices out there (although I speculate/guess it won't much).

5.75% Interest Rate ???

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